Lease Options have been a hot topic of the last few years, do these mythical unicorns exist, and where do you find them?!
So what are they? For the uninitiated, lease options are where you take control of a property for an agreed period and have the option to buy it at the end of the term. They’re much like the rent to rent strategy except you can purchase the house as well!
You might be wondering where deals such as these are lurking?! The trick to lease options is to get in front of the vendor. It’s only here that you can find out their circumstances that will highlight that a lease option might work for both parties. Any option has to be a win-win for both buyer and seller.
Exploring your options
Lease options can be a powerful tool for helping people in financial difficulty and also as a low-money down strategy, but they don’t suit every situation. They’re a vital tool in your toolbox that you can look to use when the situation arises. They can require a lot less money to get into a property and therefore open up all areas of the market with the entry price being less of a consideration.
Purchase options are slightly different from a lease option. These allow you to add value to unused land that may be part of a property. You can develop or obtain planning permission on the remaining land and then sell this on allowing you to give the owner closer to market value (or more) and also pocketing a percentage for yourself.
The trick to all options is that direct to vendor approach. Agent’s tend not to understand options and mentioning it to them can scare them off! Understanding the vendor’s circumstances is the key.
We’re going to start bringing options your way soon so keep an eye out for our deal alert emails so that you can get in on the action!!